Asked by Lindsey Conrad on May 20, 2024

verifed

Verified

Pricing obstacles refer to situations in which the pricing policies for a product lead to an increase in variability of orders placed.

Pricing Obstacles

Challenges and barriers encountered in determining the ideal pricing strategy for a product or service, such as competition, cost, customer perception, and market conditions.

Variability

The extent to which data points in a set differ from each other and from the mean, indicating the consistency or spread of the data set.

  • Identify various obstacles to supply chain coordination, including pricing, incentive, and behavioral obstacles.
verifed

Verified Answer

AW
Adrian WilliamsMay 22, 2024
Final Answer :
True
Explanation :
Pricing obstacles can create uncertainty and inconsistencies in customer demand, leading to fluctuations in order quantities. This can happen when a product is priced too high, making it unaffordable for certain customers, or when pricing is too complex or confusing, causing customers to hesitate or delay their purchasing decisions. These obstacles can ultimately affect a company's revenue and profitability.